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HB2450 • 2026

contracts; public works; employees; apprenticeships.

HB2450 - contracts; public works; employees; apprenticeships.

Labor
Passed Legislature

This bill passed both chambers and reached final enrollment, even if later executive action is not shown here.

Sponsor
Justin Wilmeth
Last action
2026-01-26
Official status
House second read
Effective date
Not listed

Plain English Breakdown

The bill summary and digest do not provide detailed information about the specific changes made, only keywords indicating areas affected.

Contracts for Public Works; Employee and Apprenticeship Rules

This bill changes rules about public works contracts to prohibit certain agreements between contractors and labor organizations.

What This Bill Does

  • Amends the law so that government agencies cannot require public works contracts to have specific wage requirements or project labor agreements.
  • Prohibits public works contracts from requiring contractors to negotiate with labor unions, enter neutrality agreements, or participate in registered apprenticeship programs.
  • Defines key terms like 'agency', 'neutrality agreement', and 'project labor agreement' for clarity.

Who It Names or Affects

  • Government agencies that award public works contracts
  • Contractors working on public projects
  • Labor unions involved with construction workers

Terms To Know

Project Labor Agreement (PLA)
An agreement between a contractor and one or more labor organizations setting the terms of employment for a specific construction project.
Neutrality Agreement
An agreement where an employer agrees to remain neutral towards union organizing efforts, often including additional provisions like access to property and employee information.

Limits and Unknowns

  • The bill does not affect private parties' ability to enter into collective bargaining relationships.
  • It also does not regulate activities protected by federal labor laws.

Bill History

  1. 2026-01-26 House

    House second read

  2. 2026-01-22 House

    House Rules: None

  3. 2026-01-22 House

    House Commerce: None

  4. 2026-01-22 House

    House first read

Official Summary Text

HB2450 - contracts; public works; employees; apprenticeships.

Current Bill Text

Read the full stored bill text 
HB2450 - 572R - I Ver

REFERENCE TITLE:
contracts; public works; employees; apprenticeships.

State of Arizona

House of Representatives

Fifty-seventh Legislature

Second Regular Session

2026

HB 2450

Introduced by

Representative
Wilmeth

AN
ACT

amending section 34-321, arizona
revised statutes; relating to public works contracts.

(TEXT OF BILL BEGINS ON NEXT PAGE)

Be it enacted by the Legislature of the State of Arizona:

Section 1. Section 34-321, Arizona Revised
Statutes, is amended to read:

START_STATUTE
34-321.

Public policy; prevailing wage contracts; prohibited agreements; definitions

A. The public interest in the rates of wages paid
under public works contracts transcends local or municipal interests and is of
statewide concern.

B. Agencies and political subdivisions of this state
shall not
require
by regulation
,

or
ordinance or in any other manner
,

require
public works contracts to contain a provision
requiring the wages paid by the contractor or any subcontractor to be not less
than the prevailing rate of wages for work of a similar nature in
the
this
state or political subdivision
where the project is located.

C. Agencies and political subdivisions of this state
shall not require in any public works contracts that a contractor,
subcontractor, material supplier or carrier engaged in the construction,
maintenance, repair or improvement of public works do any of the following as a
condition of or a factor in bidding, negotiating, being awarded or performing
work on a public works contract:

1. Negotiate, execute or otherwise become a party to
any project labor agreement or other agreement with employees, employees'
representatives or any labor organization.

2. Enter into a neutrality agreement with any labor
organization.

3. Participate in or contribute to an
apprenticeship program that is registered with the United States department of
labor.

D. Subsection C of this section does not:

1. Prohibit private parties from entering into
individual collective bargaining relationships.

2. Regulate or interfere with activity protected by
law, including the national labor relations act.

E. For the purposes of this section:

1. "Agency" has the same meaning
prescribed in section 41-1001.

2. "Neutrality agreement" includes an
agreement to remain neutral toward any labor organization, release private
employee information not required by federal labor law, allow access to
property beyond what is required by federal labor law and recognize a labor
organization without a secret ballot election conducted pursuant to federal
labor law.

3. "Political subdivision" means a city,
charter city, town, county, school district, community college district,
multi-county water conservation district, industrial development authority or
special taxing district established pursuant to title 48 that is primarily
supported by taxes.

4. "Project labor agreement" means any
prehire, collective bargaining, model construction or similar type of agreement
entered into with one or more labor organizations, employees or employee
representatives that establishes the terms and conditions of employment on a
construction project.

5. "Public works contract" means a
contract to which this state or a political subdivision is a party
involving

and that involves
the employment
of laborers, workmen or mechanics in the construction, alteration or repair of
public buildings or improvements.
END_STATUTE